Workers in the U.S. left 169 million paid, unused vacation days in a single year, according to a report referenced by Forbes.
That amounts to roughly $52.4 billion in unused vacation pay—about $504 per worker—much of it lost because many employers do not allow vacation rollover or offer limited options for cashing out unused time.
Another striking figure: research cited by Skift found that around 42% of Americans did not take any paid vacation days in 2014. These statistics are alarming when you consider that U.S. workers typically work longer hours and receive fewer vacation days than employees in many other countries.
For a long time I was guilty of the same habit during my day job. I often left a few days unused at the end of the year because I worried taking all my allotted time off would make me look uncommitted or like I was taking advantage of company policy.
In hindsight, that was short-sighted. I would have been happier and better rested if I had used more of my vacation. Many people repeat this pattern year after year, and there are several compelling reasons to stop letting vacation days go to waste.
You deserve the vacation time.
Your employer grants vacation days for a reason: you need periodic time away from work. Vacation policies exist because time off benefits both employees and companies—rested employees are more productive and less likely to burn out.
When you leave vacation days unused, you’re essentially working for free on those days. Add up the days you’ve forfeited and calculate the pay you lost: that’s real money you could have used for rest, travel, or other priorities.
Taking time off usually won’t hurt your career.
Many people skip vacation out of fear that it will hurt promotions, raises, or bonuses. However, research from Oxford Economics shows that employees who left vacation days unused were not more likely to receive raises or bonuses. In fact, those who did not take their allotted time off were less likely to receive bonuses than colleagues who used their paid vacation.
Rested employees often return more focused and effective, which is what managers and organizations value.
You don’t need to go broke to take time off.
A common excuse for not taking vacation is cost: people think they can’t afford travel. But vacation doesn’t require a costly trip. A staycation—exploring your city, visiting local attractions, or simply taking time at home to relax—can be restorative and affordable.
If you do want to travel, there are low-cost strategies such as using travel rewards or planning budget-friendly trips. You don’t have to spend a fortune to get the benefits of time away from work.
Related article: How I’ve Earned Over $2,500 In Credit Card Rewards in 2015
Time off improves work performance.
People who take their vacation days often return more motivated, creative, and productive. Breaks help your brain recover from continuous stress and restore your ability to solve problems and stay engaged with daily tasks.
Scheduling regular time away can sustain long-term performance and help you avoid burnout.
Related article: How To Stay Motivated And Become Successful
Your health benefits when you use vacation days.
Skipping vacation can harm your physical and mental health. Overworking is associated with higher risks of illness, cardiovascular problems, depression, and reduced physical fitness.
Taking your earned vacation can help reduce stress, improve wellbeing, and give you space to recharge—plus it can be enjoyable. For both your career and your health, it’s worth using the time you’ve earned.
Have you ever left vacation days unused? Why or why not? What is your company’s vacation policy?